BofA global research forecasts US May headline CPI +0.46% MoM, lifting YoY to
4.2% from April’s 3.8% — the highest since April 2023 — driven by a renewed
large rise in energy. Core CPI is seen at +0.20% MoM, 2.8% YoY. The bank
attributes the call to modest core goods gains (+0.05% MoM), rents trending
toward normalization and softer ex-rent core services. Markets will focus on how
the CPI print informs core PCE; BofA notes core PCE has run above core CPI since
last November, making this CPI release particularly relevant for policy outlook.